Report warns of sluggish economic growth in New England

BOSTON -- A new report predicts continued sluggish economic growth in New England and cautions that most states in the region will not return to pre-recession employment levels until 2015.

The four-year forecast released Wednesday by the New England Economic Partnership says Massachusetts, New Hampshire and Vermont will have the strongest economies in the six-state region, while Rhode Island will continue to experience the highest unemployment.

The economists said Maine and Connecticut will also struggle to reach pre-recession jobs levels before the end of 2016.

The forecast assumes some sort of compromise in the ongoing "fiscal cliff" negotiations, but warns that New England -- because of its higher than average per capita income -- could be hit harder than the nation as a whole if there is no deal and taxes go up.